E e budget . (ii), (iii) and (iv) (ii) and (iv) c) (iii) and (iv) d) all of these 7) A business is preparing its production budget, materials usage and materials purchases budget for the forthcoming period. The following information is known: Budgeted sales 2,300 units Current inventory of finished goods 400 units Required closing inventory of finished goods 550 units Each unit of the product uses 6 kg of material X and details of this are as follows: Current inventory of X 2,000 kg Required closing inventory of X 2,600 kg The amount of production volume required for the forthcoming period to meet the sales demand is: a) 3,050 units 2300 - 550 + 400 : b) 2,450 units c) 2,300 units d) 2,150 units 8) A company makes three products, X, Y and Z. The following information is available: N Budgeted production (units) 200 400 300 Machine hours per unit LO Variable overheads $2.30 per machine hour